- Jul 2007
- So. Md.
I am involved with a situation very much like this and it's starting to piss me off. It has cost me a lot of money and I'm sick of it. It's bullshit. It must end or our economy will NOT recover. Jus' sayin'.......But Duke noted another more surprising cause: the Fed’s campaign to push down interest rates means lenders haven’t had to work very hard to drum up business. Together with federal efforts to ease refinancing rules, low rates have produced a surge of refinancing business. This has delivered a steady stream of high-quality, low-risk borrowers in an industry that already has shrunk significantly. Capacity-constrained lenders have “less incentive to pursue harder-to-complete or less profitable loan applications,” said Duke.
I dunno. I was chatting with a friend the other day who's trying to refinance his house. You'll have to take my word for this, but he's basically about the most reliable, creditworthy, upper middle class person you could hope to meet. Good income, reliable job, longtime bank customer, etc. etc. And yet, his bank keeps finding things to be nervous about. This should be a slam-dunk refi, but it keeps dragging out.